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International Log & Sawnwood Prices
01 – 15th Feb 2023


Few new orders from China
With the end of the ‘lockdowns’ in China and with the
Lunar New Year holidays over producers had anticipated
an increase in orders for the Chinese market, this has yet
to materialise. Now producers are looking ahead to the end
of February or even March before they expected demand
to improve.

In Cameroon producers are trying to adjust to the high
export duties along with handling the administrative
requirements under the recently imposed CITES
regulations on a range of species including khaya and
doussie, pachyloba and padouk.

At the moment importers are showing no interest in
absorbing some of the higher export transaction cost
through better prices. Reports suggest the market for
khaya is very dull but that there is still some interest in
doussie and padouk for the Belgian market.

Padouk producers are busy milling log stocks in order to
ship by the end of this month but, once again, shipping
space has become an issue.

As previously reported for Cameroon for species now
under CITES operators must present forest inventory and
harvested log stock data to the forest administration before
23 February. This information will be used to determine
estimate the volume of sawnwood that is likely to be
available for export.

Railway reopens
From February 8 rail traffic will resumed in Gabon after
an almost 2 month suspension following a landslide
between the stations of Offoué and Booué. The
announcement was made in a press release made by the
Société d'exploitation du Transgabonais (Setrag).

The company said traffic will start initially with the
transport of general goods, fuel, logs and ore and that
gradually the rail schedule will get back to normal.


In other news from Gabon it is understood that the strike
action by workers in the forest administration is

Special Economic Zone Association planned
The media in Gabon has reported that in early February
Gabon will host the first ‘Forum of Administrative
Management Bodies of African Economic Zones’
(Fogazea) under the theme: "Cohesion and association of
administrative management bodies of Economic zones of
Africa, at the service of the economic performance of the

There will be a conference, experience sharing work
sessions and site visits.


‘Through the eyes of industry’, challenges and
suggestions from Congo and Gabon



Wood product exports record 14% growth
With a total export volume of 343,440 cu.m and export
earning at Eur153.86 million, Ghana’s wood products for
the period January – December 2022 registered increases
of 14% and 13% in volume and value respectively
compared to figures for the same period in 2021.

Products which contributed to the overall annual growth in
2022 against 2021 included air and kiln dry sawnwood,
billets and plywood (all markets).

A decline in 2022 exports of billets, mouldings and sliced
veneer was mainly due to problems with the availability of
raw materials, soaring production costs and buyers
reluctance to accept prices that reflect input costs. The
high cost of production was due to largely to sharp
increases in energy and other utility charges.

Air dried sanwood exports increased to 188,429 in 2022
up from 151,010cu.m in 2021. The leading exporter for
the period was Multimodal Freight Services Limited
which accounted for 14% of total sawnwood export
volumes in 2022. Other major exporters were K. Lorvert
Company Limited and Golden Logs Exporters Ltd.

Teak was the top export species accounting for 86%
(161,483 cu.m) of the total volume in 2022 along with
Denya (12,903 cu.m) and Kako/Ekki (2,843cu.m). Thirty
other species were also exported. The leading importing
countries were India (86%), Vietnam (5%) and China

Plywood exports in 2022 were 81% higher than in 2021.
Of the five exporting companies, Techno Timber
Company Ltd, Miro Forestry Ghana Ltd. and Samartex
Timber and Plywood Company Ltd. accounted for 98% of
the total export volumes in 2022.

Ceiba and Eucalyptus contributed 55% and 28%
respectively to the total export volume with the remaining
spread over eight other species. Senegal topped the list of
importers at 54% along with Germany 14%.

Survey says fuel the biggest headaches for

A survey by the UK-Ghana Chamber of Commerce
(UKGCC) has revealed that fuel is the most expensive cost
item faced by Ghanaian businesses in their operations.

The UKGCC released the 4th edition of its annual Ghana
Business Environment and Competitive Survey Report for
2022. Over 300 companies from 16 industries, ranging
from small to large companies, participated in the survey.
The survey results indicate that most businesses perceive
the business environment in 2022 has improved over 2021.

However, the report says businesses continue to be held
back by challenges such as corruption, Ghana's taxation
system, the price of land and power and present additional
economic obstacles. Businesses continue to list the cost of
gasoline as their highest operating expense followed by
cost of power, cost of machinery and cost of technology.
These factors, it was indicated, strain their already limited
financial resources.


In related news, the Association of Ghana Industries (AGI)
has periodically engaged the government at various fora to
press for direct government policies and programmes that
would support local industries to be more competitive
locally and to the regional AfCFTA markets and

Ghana-EU agribusiness platform launched to promote

The European Union (EU) in partnership with the
Chamber of Agribusiness Ghana has launched the Ghana-
EU Agribusiness Platform to promote agribusiness,
technology, investments and trade.

An online platform will serve as a convenient space for
agribusiness stakeholders in Ghana and the EU to connect
to explore business and partnership opportunities.
Speaking at the launch, the Chief Executive of the
Chamber of Agribusiness Ghana, Anthony Morrison, said
the project will look at companies or businesses that are
legally registered. The platform is expected to contribute
to building the credibility of Ghanaian businesses in EU


Long term weakening of business and consumer

Data from the Bank of Ghana (BoG) under its Real Sector
Indicators reports that there was a downward trend in both
consumer and business confidence in the general Ghanaian
economy since the end of 2020. According to the BoG
statistics both the Consumer Confidence Index (CCI) and
Business Confidence Index (BCI) have consistently been
below the 100 mark since January 2021.

The consumer confidence index averaged 86 during this
period while the business confidence index averaged 88 in
the same period. The confidence indices for both
consumers and businesses dropped to all-time lows of 74
and 73 respectively in October 2022. In December 2022,
the indices improved to 79 for consumer confidence and
76 for business confidence.

According to the Bank consumer confidence improved on
the back of the reductions in ex-pump petroleum prices
and transportation fares in December 2022. The Consumer
Confidence Index (CCI) measures how optimistic or
pessimistic consumers are regarding their expected
financial situation while the Business Confidence Index
provides insights on future business prospects.



 Industries depend heavily on foreign workers
Malaysian industries depend heavily on foreign workers
and because of covid Malaysian companies are finding it
much more complicated than in pre-covid times to employ
such labour. However, progress has been made in
discussions with the Indonesian government as Indonesia
is a major source of workers. Malaysia and Indonesia have
agreed to further strengthen the protection of migrant
workers during the meet.


Record trade in 2022
Malaysia’s trade in recorded a new milestone to reach
RM2.8 trillion in 2022. Penang remained the top exporter
with a share of 31%, followed by Johor (19%), Selangor
(18%), Sarawak (9%) and Kuala Lumpur (5%)

China and Hong Kong together took 20% of total exports
in 2022, down from 22% on 2021. It is expected that
China’s exit from the zero-Covid restrictions in January
this year will boost its growth from 3% in 2022 to around
5% for this year. This will lift imports from Malaysia and
help to offset the softening demand in other countries,
especially Europe and the United States that at risk of
falling into recession.


Certification - public consultation
The Malaysian Timber Certification Council (MTCC)
organised a Stakeholder Dialogue in Kuala Lumpur to
seek feedback on the certification of forest plantations
established after the cut-off date of 31 December 2010.

The consultation will also create awareness and obtain
input on developing a guidance document on certifying
non-timber forest products (NTFP) under the timber
certification scheme (MTCS).

During the Dialogue stakeholders were informed on the
draft guidance document for certifying NTFP under the
MTCS and their inputs were recorded and compiled which
included a recommendation for more time for the
stakeholders to study the draft guidance document and
provide input/feedback.

The MTCC offered the MTCS GD 1002:2023 Guidelines
on Application of Requirements for Non-Timber Forest
Products Certification in MTCS ST 1002:2021 Malaysian
Criteria and Indicators for Sustainable Forest Management
under the Malaysian Timber Certification Scheme for
public comment.


Malaysian International Furniture Fair (MIFF)
The Malaysian International Furniture Fair (MIFF) is
seeing a surge in demand from exhibitors wishing to
participate. The Southeast Asia business-to-business
furniture trade show has more than 500 exhibitors
currently registered and expects around 600 by the date of
the show, March 1-4, to be held at the World Trade Centre
Kuala Lumpur and Malaysia International Trade &
Exhibition Centre.

Participating are exhibitors from China, India, Indonesia,
Singapore, Thailand and Vietnam, along with pavilions by
Taiwan, Japan and South Korea.

Organised by Informa Markets, MIFF will feature the
debut of the Furniture China/Malaysia Show, the first-ever
edition outside Shanghai. It also will showcase collections
of Malaysian solid wood furniture and office furnishings
and work by young designers.


Award-winning architect speaks on ‘Green building’
The Malaysian Timber Council (MTC) organised a
‘Timber Talk’ webinar session with award-winning
architect, Ar. Lillian Tay. Tay shared her inspirations and
insights through her presentation titled “Beyond Green
Buildings” where she spoke of her experience in designing
various projects and touched on the concept of building
green buildings that reduce the negative environmental
impact of a built environment.

MTC Timber Talk is the Council’s effort to educate and
provide insights into the best design practices, latest
innovations and knowledge on interesting case studies
from the leading experts in the building and architectural

For more info on MTC Timber Talk 2022 by Ar. Lillian Tay
“Beyond Green Buildings” see:

Through the eyes of industry’, challenges and
suggestions from Malaysia



 New export record
Despite uncertain global economic conditions exports of
Indonesian wood products in 2022 continued to grow.
Data from the Ministry of Environment and Forestry
(KLHK) analyses by the Association of Indonesia Forest
Concession Holders (APHI) show Indonesia's exports of
wood products in 2022 reached US$14.51 billion. This
was a significant increase in export values compared to
2021 which were recorded at US$13.56 billion.

The export value for wood products in 2022 was a record
surpassing the previous record in 2021. In 2022 paper
products contributed the most to export earnings at
US$4.37 billion, up 18% yoy followed by wood pulp
US$3.73 billion, up 15% yoy. The other wood products
that made a large contribution were wood panels US$2.86
billion and furniture worth US$2.26 billion.


Market diversification - biomass trade with EU member

Markets such as Bulgaria, Lithuania, Slovenia and other
Eastern European countries are to be the target for
expanded wood product exports in the EU.

In addition to the current products exported such as paper,
panels and furniture efforts will be made to export wood
pellets according to the chairman of the Association of
Indonesia Forest Concession Holders (APHI), Indroyono
Soesilo. He added there is a skyrocketing demand for
Indonesian wood products in Eastern European member

In Bulgaria there was a 100% increase in Indonesian wood
product exports, a 400% increase in Croatia, 125% in
Lithuania and a massive jump in exports to Slovakia.
However, currently the volumes are small but there are
opportunities for growth. Indroyono said growth in nontraditional
market countries is an opportunity to increase
exports amidst the economic challenges of 2023.



Indonesian furniture for Swiss market
The Minister of Cooperatives and SMEs, Teten Masduki,
has pointed out that, as a results of discussion with the
Swiss Secretariat for Economic Affair, an Indonesia-
Switzerland FTA had been ratified which will benefit
businesses in both countries.

As a follow-up the Minister suggested members of the
Indonesian Furniture and Craft Industry Association
(Asmindo) take advantage of the import duty exemption
built into the FTA.


Government to encourage downstreaming of 21

The Indonesian government’s investment policy will
remain focused on investment in downstream
manufacturing in 21 commodity sectors in order to attract
investment worth over US$500 billion by 2040 according
to the Minister for Investment, Bahlil Lahadalia. The
ministry has prioritised investment needs of 8 sectors
namely minerals, coal, oil, natural gas, plantations, marine,
fisheries and forestry. The 8 sectors cover 21
commodities: coal, nickel, tin, copper, bauxite, steel, gold,
silver, asphalt, oil, natural gas, coconut, rubber, biofuel,
logs, pine resin, shrimp, fish, crab, seaweed and salt.


No leniency for private firms on forest fires
At a press conference on “Preparedness for 2023 Forest
and Land Fires” Environment and Forestry (LHK)
Minister, Siti Nurbaya Bakar, emphasised that the
government will take firm action against businesses found
causing forest fires in Indonesia. She is reported as saying
"if forest fires happen because of the private sector there
will be no mercy because as soon as a hotspot is detected
as we will immediately act.


In related news, the President urged regional military and
police chiefs to develop forest fire preparedness in their
respective jurisdictions. Th President highlighted that the
police and the military are responsible for taking forest
and land fire prevention efforts in line with the pledge they
had made years ago. He called for concerted action in
forest fire-prone areas including Riau, North Sumatra and


UNDP Funding for Climate and Sustainable Forest

Indonesia has received a first disbursement of US$46
million from the US$103.8 million approved by the Green
Climate Fund (GCF), following the success in emission
reduction from Indonesian forestry sector in the period
2014 to 2016.

The United Nations Development Programme (UNDP)
has transferred the funds to the Indonesian Environment
Fund (IEF) which has a mandate to manage environment
funds. The IEF was officially formed to channel
environmental and climate funds to support achievement
of Indonesia’s Nationally Determined Contribution (NDC)
commitments to achieve net-zero emissions by 2060 by
reducing Green House Gas (GHG) as part of the global
mandate and commitment to combat climate change.


ADB to support rural livelihood and agroforestry
The Asian Development Bank (ADB) signed a US$15
million loan facility with PT Dharma Satya Nusantara Tbk
(DSNG) to help the company expand sustainable wood
processing, rural livelihood development and climateresilient
agroforestry in Java. The ADB money will be
used to implement energy-efficient and water-saving
processes and procurement of cultivated native Indonesian
Sengon and Jabon saplings.

DSNG sources timber from Central, East and West Java.
The majority of Sengon and Jabon trees are cultivated by
smallholders and are inter-cropped with coffee, corn and
rice. As well as enabling the utilisation of otherwise
unproductive land, intercropping trees with food crops can
reduce erosion, enhance soil health and in many cases
improve crop yields.



 No indication logging ban will continue
The Ministry of Natural Resources and Environmental
Conservation (MONREC) announced a logging ban in a
mini-budget for 2021-22 and for 2022-23. There has been
no announcement of a logging ban for 2023-24. However,
MONREC has indicated harvesting will be less than
Annual Allowable Cut (AAC).

See -

Uncertainty looms over Myanmar economy: World

Myanmar’s economy remains subject to significant
uncertainty with ongoing conflict disrupting businesses
according the World Bank ‘Myanmar Economic Monitor’
published this year. It says, while some firms show signs
of resilience, household incomes remain weak and
Myanmar’s potential for growth has been severely

Mariam Sherman, the World Bank’s country director said
“while conflict remains, families suffer from insecurity
and violence. Firms, particularly those in the agriculture
sector, are experiencing higher costs and delays”.

The World Bank expects that a gradual economic recovery
could be seen in the near term and growth is estimated at
3% year ending in September. However, economic activity
continues to be adversely affected by conflict, electricity
shortages and changing regulations, with per-capita gross
domestic product expected to remain about 13% below
pre-Covid levels.

The depreciating kyat, high global prices and ongoing
logistics constraints have caused import costs to rise
sharply and these shocks fuel inflation and further reduce
real incomes, said the report.

“Losses in education along with increased unemployment
and internal displacement will reduce already low levels of
human capital and productive capacity over the long term
the report says.

The report recommends a more unified and marketoriented
foreign exchange system which would help
stabilise the economy, reduce inflation and remove market


Martial declared in many areas
Martial law was declared in several areas a day after
authorities announced that a state of emergency has been
extended throughout the country which is wracked by

State-run MRTV television broadcast an announcement by
the State Administration Council (SAC), imposing martial
law in 37 townships across eight of the country’s 14
Regions and States.

Eleven of the affected townships are in Sagaing Region
and seven in Chin State, areas in the northwest where
fighting has been fiercest between the army and people
belonging to pro-democracy People’s Defense Forces and
their allies. Most of areas identified in the statement are
timber producing areas.


Sanctions affect everyone
The local media has highlighted the impact of
international sanctions on businesses and households
saying while the international economic sanctions target
the current military-led government everyone is affected.

There are shortages, costs are climbing, development aid
has been cut, trade has been cut and investment has
slowed. To adjust to the new economic reality the
government restricts imports to try and balance foreign
currency earnings and outgoings.

In stark contrast to the reality the Prime Minister, General
Min Aung Hlaing, said at a meeting last year that if
Myanmar makes efforts it will reach the middle income
level among ASEAN countries in the next 5 years.

See -


Strong economy not reflected in rupee exchange rate
According to a Reuters poll of foreign exchange strategists
the rupee is likely to strengthen only slightly in coming
months and will still trade above the 80 to the US dollar
all year.

Although India is a fastest growing emerging economy
that relative strength is not reflected in the exchange rate
movements. Underlying economic problems, including a
reliance on imported oil and persistent unemployment
continue to hold down the exchange rate.

The real estate industry fears the recent interest rate rise
announced by the Reserve Bank of India (RBI) will harm
the housing industry. The real estate sector believes that
the increased rate will push upthe cost of servicing home
loans at a time when the sector has begun showing
promising sales numbers. The decision by the RBI will
lead to higher borrowing costs which could again reduce
the demand for home loans.

However, on the positive side real estate industry
stakeholders in Bengal are of the opinion that the state
government’s rebate on stamp duty will have some
positive impact on the housing market in the short term.

The Monetary Policy Committee of the RBI increased
interest rates in a bid to arrest retail inflation.

Anuj Puri, chairman of property consultancy ANAROCK
Group is quoted as saying “The Indian housing market
continues to be largely end-user driven -- and end-users,
unlike investors, focus less on return on investment and
more on the perceived value of home ownership.

Furthermore, commodity prices are now falling and
inflation is moderating. As such, we are unlikely to see
any hikes in the near future, which will be positive for the
housing sector in times to come.”


Launch of the ‘Trees Outside Forests in India’
In a press release the Government of Rajasthan’s Forest
Department and the U.S. Agency for International
Development (USAID) announced the launch of the
“Trees Outside Forests in India (TOFI)” programme in
Rajasthan which will bring together farmers, companies
and other private entities to rapidly expand tree coverage
outside of traditional forests in the state.

The new initiative will enhance carbon sequestration,
support local communities and strengthen the climate
resilience of agriculture, thereby supporting global climate
change mitigation and adaptation goals.


Green bonds to lower borrowing cost
For the first time the Reserve Bank of India (RBI) issued
sovereign green bonds on behalf of the Government of
India. The initial announcement was made by Union
Finance Minister, Nirmala Sitharaman, in her 2022 budget
speech. The government had later announced it would
issue such bonds worth Rs.16,000 crore this year as part of
the overall market borrowing programme.

There are investors who are willing to accept
comparatively low returns to support green
initiatives. Some institutional investors are also mandated
to invest in such instruments. Corporations engaged in
green businesses can secure funds at relatively low rates.

A lower cost of borrowing would help Asia’s third-largest
economy finance infrastructure and meet clean energy
goals, while managing a record debt issuance plan. The
first green bond sale will take place before the end of the
fiscal year in March and discussions are underway with
ministries to identify projects.


Ex-warehouse prices for plywood have been increased to
compensate for the higher costs of logs and resins used in
manufacturing. Last month the North India Plywood
Associations advised its members to charge 7% extra from
their dealers to compensate for the rising production costs.



Wood and Wood Product (W&WP) Trade highlights
According to the Vietnam General Department of Customs
W&WP exports in December 2022 were US$1.3 billion,
up 11.5% compared to November 2022, but down 8.4%
compared to December 2021. WP exports, in particular,
accounted for US$875 million, up 15% compared to
November 2022 but down 19% compared to December

In 2022 W&WP exports were valued at US$16 billion a
year-on-year growth of 8%. Of this WP exports
contributed US$11.04 billion, down 0.3% compared to
2021. Exports of wooden furniture in December 2022
were valued at US$798.6 million, down 19% compared to
December 2021. In 2022 exports of wooden furniture
totalled at US$10 billion, down 0.4% over the same period
in 2021.

W&WP exports to the US in December 2022 stood at
US$678 million, down 19% compared to December 2021.
In 2022, the total W&WP exports to the US amounted to
US$8.7 billion, down 1.3% compared to 2021.

Vietnam's imports of logs and sawnwood in December
2022 were 440,200 cu.m, worth US$157.2 million, down
9% in volume and 8% in value compared to November
2022. Compared to December 2021 however, imports
increased by 17% in volume and 7% in value.

In 2022 imports of raw wood were reported at 5.993
million cu.m equivalent to US$2,270 billion, down 4% in
volume, but up 5% in value compared to that of 2021.

Vietnam's tali wood imports in December 2022 reached
57,900 cu.m,, worth US$23.2 million, up 8% in volume
and 8% in value compared to November 2022. Compared
to December 2021, tali imports increased by 203% in
volume and 211 % in value.

In 2022 tali imports totalled 557,300 cu.m, worth
US$226.0 million, up 46% in volume and 44% in value
compared to 2021.

Imports of logs and sawnwood from the US in December
2022 experienced the fourth consecutive monthly decline
and stood at 44,160 cu.m, at a value of US$19.19 million,
down 18% in volume and 22% in value. In 2022 imports
of logs and sawnwood from the US to Vietnam totalled at
689,430 cu.m, worth US$327.11 million, up 0.8% in
volume and 3% in value compared to 2021.

Vietnam’s W&WP exports increased by 8.1% in 2022
Over the last 10 years Vietnam's W&WP exports have
been increasing steadily. The mean growth in the period
2012 - 2022 is calculated at 14% per year. Growth was
fast in 2018, 2019 and 2020 and surprisingly in 2021,
amid the Covid-19 pandemic, exports grew nearly 20 %.

However, by 2022, the growth rate of W&WP exports
slowed as the value of exports was US$16 billion, up just
8% compared to 2021.

Forecasts and suggestions for manufacturers from

Vietnam’s wood sector has been targeting 5 major
markets; the US, Japan, China, South Korea and the EU.
The current global situation and problems facing these
markets for W&WP from Vietnam can hardly give an
optimistic forecast on Vietnam’s W&WP trade.

According to Vietnam Wood and Forest Products
Associations (VIFOREST) the growth of W&WP exports
in 2023 is expected to be up between 7% - 9% year on
year far below the growth rate over the last 10 years. With
this expected growth W&WP exports in 2023 will be
between US$17 billion - 17.5 billion. To face the
downturn in the major markets Vietnamese traders have
been advised by VIFOREST to adopt the following
measures and solutions:

 expand utilisation of domestic wood raw
materials to reduce input costs
 apply improved technologies to enhance labor
 apply digital transformation to reduce production
 promote low-emission production
 coordinate with localities to build specialised
wood processing and trading zones in various
regions of the country
 enhance W&WP trade promotion with attention
given to attending international trade fairs for
wood products, wood technologies and wood
manufacturing machines
 diversify export markets and increase customer
outreach through improving designs, focusing on
high-value commodity groups, opening trade
representation in key markets
 utilise of the advantages gained from the Free
Trade Agreements Vietnam has concluded with
important trade partners


 Instilling responsibility in young entrepreneurs
The “Amazon Journey” initiative aims to promote
businesses that support the maintenance of tree cover. The
initiative is also called "the Genesis Program" being aimed
at young talents to encourage research oriented towards
products and processes that have a minimal impact on the

The initiative is coordinated by the Certi Foundation in
collaboration with participation and investments from
Bradesco, Fundo Vale, Itaú-Unibanco and Santander,
partners in the Amazon Plan, an alliance among the three
banks and Vale's Bioeconomy Program Fund.

The programme will bring together young people from the
nine states of the Legal Amazon to debate local
opportunities, market demands, in addition to the
socioeconomic and environmental sustainability of the
Amazon rainforest. The main topics will be biotechnology,
innovation ecosystem, impacting business.

The Genesis programme is a launch pad for a second stage
“Synapse Program” which seeks to help entrepreneurs get
their idea off the ground. In 2022, a programme was held
in Pará state with 516 young people resulting in 105 new
ideas for entrepreneurial solutions for a bio-economy
agenda in the Legal Amazon.


Forestry careers on offer
The domestic and international demand for pulp and paper
produced in the state of Mato Grosso do Sul encouraged
companies increase recruitment and offer training. In
2023, through on-site and distance courses, some 2,145
new employees were trained.

A large pulp and paper company located in Três Lagoas
municipality, State of Mato Grosso do Sul, has more than
5,300 workers, 2,900 of them work on forest operations.
Another pulp and paper company, in Ribas do Rio Pardo
municipality, in the same State partnered with SENAI
(National Service for Industrial Training) to conduct
training. The company plans to recruit 2,000 people by
2024 for forest operations.


UAE/Brazil Business Council
In 2022 the Brazilian Furniture Project took many member
companies on a trade mission during Expo Dubai and attracted
more than US$2.8 million in immediate business and US$15.6
million in potential orders.

Between 2006 and 2021 Brazil exported around US$60.3 million
in furniture to the UAE. This was a period in which there was
57% growth. Brazilian exports to the UAE jumped from US$6.9
million in 2017 to US$10.8 million in 2021.

In 2022 the CNI (Brazilian National Confederation of Industry)
and the FCCI (Federation of Chambers of Commerce and
Industry of the United Arab Emirates) established the United
Arab Emirates/Brazil Business Council to strengthen trade and
investment between the two countries.


2022 not a great year for the Bento Gonçalves furniture

2021 was a year of atypical growth in revenue and exports
for companies in the Bento Gonçalves furniture cluster, in
the state of Rio Grande do Sul with export demand surging
as people focused on furnishing their homes during the
COVID-19 pandemic.

In 2022 even when life in the US started to return to
normal sales of durable goods such as furniture lost
momentum and this resulted in a decline in export
earnings for the 300 Brazilian manufacturers.

Companies in the Bento Gonçalves furniture cluster ended
2022 with R$3.1 billion in revenues and US$54.5 million
exported, a decrease of 3% and 28%, respectively
compared to 2021 according to SEFAZ (Secretariat of
Finance), Comex Stat and CAGED (General Register of
Employed and Unemployed Workers). The slowdown in
sales also resulted in job losses with employment in the
sector dropping over 2%.

According to the Furniture Industry Union of Mato Grosso
State (SINDMÓVEIS) it is projected that demand will
remain stable in 2023 with the possibility of a slight
increase of 2% to 3% in the cluster's revenues. In 2022,
despite the declining export earnings, there was success in
diversifying markets. Products from the region were
exported to 59 countries, a 15% increase compared to
2019, the year prior to the COVID-19 pandemic. The top
10 export destinations were the United States, Uruguay,
Chile, the United Kingdom, Peru, Mexico, Colombia,
Paraguay, Puerto Rico, and Panama.


‘Through the eyes of industry’, challenges and
suggestions from Brazi and Mexico




Guidelines for SERFOR audits of timber producers and

The National Forest and Wildlife Service (SERFOR) has
approved "Guidelines for conducting audits and
verification of producers and exporters of timber forest
products". These guidelines establish the provisions for
SERFOR or the Regional Forest and Wildlife Authorities
(ARFFS) to conduct periodic audits of producers and
exporters of timber forest products.

The aim is to verify compliance with the obligations for
international trade as established in Law No. 29763,
Forestry and Wildlife Law and in the Trade Promotion
Agreements signed by Peru.

Increase in particleboard imports
The value of Peruvian imports of particleboard reached
US$161.9 million in 2022 (versus US$159.5 million in
2021). This was a record and a 1.6% year on year growth.
Ecuador, once again, was the main supplier to Peru during
2022 with shipments worth US$70.7 million which
represented an increase of 4% compared to 2021. Spain
was the second ranked supplier with US$35.1 million, a
9% drop compared to the US$38.6 million shipped to Peru
in 2021.

Forest fire prevention campaign
SERFOR in coordination with the Provincial Municipality
of Satipo, started the campaign for the prevention of forest
fires in the Central Jungle (Amazonía del Perú) area of the

The Technical Administrator of the ATFFS-Central Forest
said he objective of this technical assistance is to promote
the preparation of fire prevention action plans to reduce
the risks of forest fires. The initial training highlighted the
importance of disaster risk management in the country.

Peruvian exports in 2022 grew 4%
The Association of Exporters (ADEX) has reported
Peruvian export shipments in 2022 at US$63,193 million,
up 4% year on year despite five months of declines during
the year the deepest being those of the last quarter
(October -6 %, November -19% and December -8%).

After growing 8%, 23% and 8% in 2016, 2017 and 2018
respectively, in 2019 and 2020 export earning dropped
-2% and -11% to reverse to expand 48% in 2021, the
rebound after the easing of covid responses in the US and
the EU.

ADEX president, Julio Pérez Alván, expressed his concern
about prospects for January this year as production and
supply chains have ben disrupted due to civil unrest. He
added “There is tension and concern for the welfare of
workers, damage to private property and trust with
international buyers”.

Exports of primary products in 2022 totalled US$44,914
million the leading sub-sector was mining with US$35,032
million, down -7% due to political-social unrest.

In second place was hydrocarbons (US$6,151 million),
followed by fishing (2%) and agriculture (57%).

Despite lower demand (-2%) China was the top export
market followed by the US and Japan. Other markets in
the top five were Canada and South Korea.




Source:ITTO'  Tropical Timber Market Report